Companhia Brasileira de Distribuicao Stock Forecast

Red day on Monday for Companhia Brasileira de Distribuicao
(Updated on May 06, 2024)

CBD Signals & Forecast

There are mixed signals in the stock today. The Companhia Brasileira de Distribuicao stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at $0.445 and $0.523. A break-up above any of these levels will issue buy signals. Volume fell on the last day without any changes to the price. This does not cause any direct divergence but may be an early warning and a possible "turning point". The very low volume increases the risk and reduces the other technical signals issued. A buy signal was issued from a pivot bottom point on Thursday, April 18, 2024, and so far it has fallen 0%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD).

Support, Risk & Stop-loss for Companhia Brasileira de Distribuicao stock

There is no support from accumulated volume below today's level and given the right condition the stock may perform very badly in the next couple of days.

In general the stock tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the stock During the last day, the stock moved $0 between high and low, or 0%. For the last week the stock has had daily average volatility of 0%

Companhia Brasileira de Distribuicao is oversold on RSI14 (20). Some stocks may drop long and hard while being oversold on RSI before turning, which increases the general risk.

Our recommended stop-loss: $0.416 (-6.60%) (This stock has low daily movements and this gives low risk. Low RSI14 is 20 which reduces the risk some. There is a buy signal from a pivot bottom found 12 days ago.)

Trading Expectations (CBD) For The Upcoming Trading Day Of Tuesday 7th

For the upcoming trading day on Tuesday, 7th we expect Companhia Brasileira de Distribuicao to open at $0.445, and during the day (based on 14 day Average True Range), to move between $0.429 and $0.461, which gives a possible trading interval of +/-$0.0159 (+/-3.56%) up or down from last closing price. If Companhia Brasileira de Distribuicao takes out the full calculated possible swing range there will be an estimated 7.12% move between the lowest and the highest trading price during the day.

With no support below and resistance from accumulated volume @ $0.470, some $0.0250 (5.62%) from the current price of $0.445, our system finds the risk reward not very attractive.

Is Companhia Brasileira de Distribuicao stock A Buy?

Companhia Brasileira de Distribuicao holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development.

Current score: 0.000 Hold/Accumulate Unchanged

Zero in score indicates that our system is expecting high volatility and risk for the following trading day. Given the latest developments, we cannot determine the next direction as it may go both ways.

Predicted Opening Price for Companhia Brasileira de Distribuicao of Tuesday, May 7, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.